More premium brands opening up to Poland

According to PMR data, in 2018 the value of the clothing and footwear market in the higher and luxury price segment amounted to over PLN 6bn, reaching almost 1/5 of the fashion market in Poland. The development of this category is positively influenced, among other things, by the growing disposable income, which translates into an increase in expenditure on more expensive fashion products. As a result, premium brands are increasingly willing to open their stores in Poland.

More premium brands open up to Poland

In September 2018, the first boutique under the Armani Exchange brand belonging to the Giorgio Armani Group was opened in Warsaw. The boutique is also situated in Galeria Mokotow and its offer is addressed to the younger generation.

Also in October 2018 the first Chanel Fragrance & Beauty Boutique with a cosmetic and perfume assortment was opened in Galeria Mokotow in Warsaw. In addition to cosmetics, the store also offers accessories, including sunglasses.

After the debut in 2017, in April last year Victoria’s Secret opened another full-range boutique of the brand in the country. The other store also operates in Warsaw, in Zlote Tarasy shopping centre. Until now, an incomplete range of the brand assortment, including cosmetics and accessories, has been available in this location. At the end of August last year, Victoria’s Secret entered the Polish market, opening the first official full assortment store in the Arkadia Shopping Centre in Warsaw. The brand has already been present on the market in two Warsaw stores in a smaller concept offering accessories and handbags.

In the nearest future we can also expect new debuts. Only until the end of the year the opening of the first stores has been announced, among others, by Hermes, a luxury brand of footwear and accessories. According to press reports, the new store will open around September in the Europejski Hotel in Warsaw.

Warsaw is the largest market of luxury brands

Despite the growing interest in the Polish market among luxury brands, it is still difficult to find streets similar to the Champs Elysees in Paris, Via Condotti in Rome or at least Paris street in Prague, bringing together the most famous designers in the world. The Vitkac shopping centre is aspiring to be such a luxurious location, with brands such as Gucci, Louis Vuitton or Yves Saint Laurent. What is more, a lot has been going on in the department store recently: 18 new stores were added only in 2018. Such brands are present in the centre as Burberry, which disappeared from Poland for a few years, Alexander McQueen, Margiela or Stella McCartney. In 2019 the following outlets were opened: Moncler, Balmain and Red Valentino, and by the end of the year there will be also, among others, the following brands: Chloe, Givenchy or Dolce & Gabbana.

1/5 of the fashion market is made up of high-end and luxury products

According to PMR data, in 2018 the value of the clothing and footwear market in the higher and luxury price segment amounted to over PLN 6bn, reaching almost 1/5 of the fashion market in Poland. What is more, in recent years the higher and luxury segment recorded an increase of 3 p.p. points. The development of this category is positively influenced by such factors as growing disposable income, which translates into higher spending on more expensive fashion items, growing consumer awareness, their love of luxury brands and the attractiveness of Poland among foreign tourists who buy fashion items at the same time.

The Ministry of State Assets (MEP) is working on the merger of companies from the agri-food sector, which are under state supervision. The National Food Holding (NHS) is to be established in this way.

June: selection of companies for the holding company

The consolidation will be based on the Krajowa Spolka Cukrowa, which is present on several markets, including sugar, starch and grain. The objective is to create a strong agri-food holding and enter new business segments. The idea behind the consolidation undertaken by MEP is that “on the one hand, consumers should receive competitive prices, and on the other hand, farmers and manufacturers should be well paid for their products”.

Currently, 48 companies that could be part of the holding are being analysed. The plan provides that the companies to be consolidated are to be selected in June. By the end of the year, more detailed research…

Bartłomiej Łatka, Sales Director at Euvic IT, writes in the second part of the article about what robotization has to offer to the retail segment in 2020.

Mobile robots

Bartłomiej Łatka, Sales Director at Euvic IT

Recently, mobile robots have been pushing people out of storage space in large warehouses. There is a shortage of warehousemen throughout Poland, and warehouses often located on the outskirts of cities or even in the fields, struggling to provide staff. Especially during the holiday or flu season. Relatively high salaries, regulated by the law for working at night or on public holidays, as well as the risk of loss of manning – all that makes automated internal transport systems seem to have the best years ahead.

Among mobile solutions in trade and logistics we can distinguish the following groups:

The Glovo mobile application, which specialises in on-demand deliveries, has just exceeded 1 million downloads in Poland (App Store and Google Play). Although a wide range of products can be ordered with Glovo, it is widely used to deliver food.

Glovo in Poland: 1 million application downloads

Glovo has been operating in Poland since July 2019, following the acquisition of PizzaPortal.pl. The idea behind the application is to be able to order “anything” and delivery takes place in less than an hour. Glovo has over 2,700 partner points in Poland, including McDonald’s and KFC restaurants and Biedronka and Carrefour shops. The application operates in 30 cities in Poland, but Glovo announces a systematic expansion of its offer and development of all order categories. In total, around the world, the application is used by approximately 2.6 million users per month. It is available in 22 countries and about 550 cities.

Tesco develops its activities in the e-commerce segment. In May, the company added five new cities for the “Zamow i odbierz” (click & collect) service in Poland.

14 click & collect points

New locations where the service is available are Czestochowa, Zielona Góra, Opole, Kielce and Jelenia Gora. Thanks to the extension of the network of collection points, it is now possible to serve 15% more customers under this solution. In total, currently the click & collect option is available in 14 Tesco stores across the country. Around 2,000 customers use such purchases every week. The chain announces that it will soon introduce further novelties extending the scope of services.

Purchases made in the “Zamow i odbierz” option can be picked up in the store or delivered home by a taxi company cooperating with Tesco. When completing an order via taxi, payment must be made online. In case…

As far as saturation with robots is concerned, the Polish market is unfortunately in the tail of the rankings, which is quite surprising if we take into account, for example, Polish GDP (where we have 22nd place in the world) or Human Development Index (Poland with 32nd place in the world).

Bartlomiej Latka, Sales Director at Euvic IT

In 2014, roboforum.pl wrote that “Poland, with the value of the index at 18, is at the bottom of the ranking. Higher density of robotization than Poland is characteristic not only for countries that are among the leaders in this respect, but also for countries with a similar level of development, such as Hungary or Slovakia. The average robotisation density in Europe is 4.4 times higher than in Poland (compared to the previous year, Poland reduced the distance to Europe by 1.1 points),…

Camaieu clothing chain, specialising in women’s clothing, is leaving the Polish market. The company’s website has already stopped accepting orders and the stationary stores are to be closed at the end of June.

Camaieu is looking for an investor

As far back as 2018. Camaieu operated about 40 stationary stores in Poland. However, the chain has recorded negative sales dynamics in recent years, and the number of stores has been gradually decreasing. Currently, it amounts to 25. In total, the chain operates about 1 ,000 stores in 18 countries, more than half of which are located in France.

The COVID-19 pandemic and the closure of shops in shopping malls have worsened the company’s situation, but it has already been struggling with financial problems. According to Business Insider, the company planned to implement a restructuring plan from the spring, which was to include the closure of 125 stores in…

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